Cramer Gem

[madatrub]

Posted without comment.

 

[Lewis Clark]

And if you retire too late you may regret it the rest of your life.

 

[Mr. Tightwad]

He's right.

One needs to make sure they have enough resources or else returning to work appears likely.

 

[audreyh1]

It is possible to retire too early and run out of money. Better to be pretty sure.

 

[jollystomper]

He is not completely wrong. Many people who claim to have retired early did nothing more than leave the job they disliked to work at a side gig they desired. The pandemic exposed a lot of them panicking when the income from their side gig dried up.

 

[athena53]

It is possible to retire too early and run out of money. Better to be pretty sure.

Yep. I'm 70, nine years into retirement and in pretty good health but could not imagine having to go back to work because I was running out of money. Fortunately in my case that's not going to happen. It's sad to see a lot of people thinking they'll retired at 62 because then they can collect SS and realizing many years later it's not enough.

 

[kcowan]

I divided my life into thirds:
One third prep
One third work
One third for me

Since the end point is unknown, I picked 55. So maybe 25/30/25?

 

[MarieIG]

He is not completely wrong. Many people who claim to have retired early did nothing more than leave the job they disliked to work at a side gig they desired. The pandemic exposed a lot of them panicking when the income from their side gig dried up.

I thought about the side- gig route, but I simply could not make the money I was making working full time - and wanted the option to retire completely sooner rather than later, i.e. FI.

It seems that since I have retired, I have no desire for a part-time gig (other than babysitting the grands).

 

[CardsFan]

It seems that since I have retired, I have no desire for a part-time gig (other than babysitting the grands).

I always thought part-time gigs paid. Do you get paid for baby-sitting the grands?

Just kidding, of course. We don't have any grands, but we borrow our friend's from time to time. There is something very therapeutic watching young kids have fun (especially when I am the water balloon target)

That sounds like the perfect part-time gig.

 

[JoeWras]

Good job, Jim! Keep those folks paying into social security. We need them.

 

[MarieIG]

I always thought part-time gigs paid. Do you get paid for baby-sitting the grands?

Just kidding, of course. We don't have any grands, but we borrow our friend's from time to time. There is something very therapeutic watching young kids have fun (especially when I am the water balloon target)

That sounds like the perfect part-time gig.

Yep, paid with hugs and kisses!

 

[athena53]

Good job, Jim! Keep those folks paying into social security. We need them.

You're right about that- I did the calculations and in the 4 years from age 61 when I retired to age 65 my employers and I would have paid another $50-$60,000K into SS.

My benefit would have increased by $50/month.

 

[rodi]

There is something very therapeutic watching young kids have fun
.

Just got back from a camping trip and I *loved* the sounds of kids giggling/squealing as they played, climbed rocks, ran around the campground. Our whole group was well over 60 - and we all would grin big when we'd hear the kids at other campsites having fun being in nature.

 

[Quattro73]

I divided my life into thirds:
One third prep
One third work
One third for me

Since the end point is unknown, I picked 55. So maybe 25/30/25?

Man, I like that. That just really hit home.

 

[madatrub]

I thought about the side- gig route, but I simply could not make the money I was making working full time - and wanted the option to retire completely sooner rather than later, i.e. FI.

It seems that since I have retired, I have no desire for a part-time gig (other than babysitting the grands).

We have a local retired state trooper. He hated "retirement", so he started a residential pressure wash company. Now he's so busy that he's grown the business and wants to "retire" all over again.

 

[jollystomper]

You're right about that- I did the calculations and in the 4 years from age 61 when I retired to age 65 my employers and I would have paid another $50-$60,000K into SS.

My benefit would have increased by $50/month.

Indeed - for me, when I retired at 60 I had hit the max SS benefit (something I did not realize until just after retiring (due to severance/bonuses), so any further work would not have increased my SS benefit.

 

[Koolau]

I divided my life into thirds:
One third prep
One third work
One third for me

Since the end point is unknown, I picked 55. So maybe 25/30/25?

I like it. My numbers are a bit different, but the idea is right on!

 

[jazz4cash]

Cramer is 100% correct. Emphasis on the word “too”. Is there a Too Early Retirement forum? If so it must be a sad and depressing group.

 

[Koolau]

Cramer is 100% correct. Emphasis on the word “too”. Is there a Too Early Retirement forum? If so it must be a sad and depressing group.

Heh, heh, lots of his disciples would fit right into the Too Early Retirement forum! They're already depressed.

 

[Sand101]

You're right about that- I did the calculations and in the 4 years from age 61 when I retired to age 65 my employers and I would have paid another $50-$60,000K into SS.

My benefit would have increased by $50/month.

The return after the 2nd bend point is very low. It is where SS gets the money to redistribute those monies to the initial (very high) slope, SSDI, SSI, etc. From a pure ROI point of view it's probably mathematically best to retire right at the 2nd bend point.

 

[athena53]

Cramer is 100% correct. Emphasis on the word “too”. Is there a Too Early Retirement forum? If so it must be a sad and depressing group.

Yes, there is. It's the group that always posts on retirement-related posts in FB complaining about how they can't live on their SS incomes.

 

[Koolau]

Yes, there is. It's the group that always posts on retirement-related posts in FB complaining about how they can't live on their SS incomes.

I've met those people in person. No amount of explanation affects their attitude. They really thought that SS was supposed to BE their retirement. One lady we know very well was bragging that in addition to SS, she had saved $60,000 in the bank. I rolled my eyes at DW.